US business travel spending will continue its steady rise over the next two years despite economic uncertainty globally.
The latest industry report by the GBTA Foundation predicts spending will be just shy of $300 billion this year and up to $310.4 billion in 2017.
"The US business travel market is an island of stability in a sea of global volatility. Over the next two years, US business travel spending will grow at just above 3%, but this is largely driven by price, not transaction level increases," said Michael W. McCormick, GBTA executive director.
"In this environment of modest transaction growth, low inflation levels and global uncertainty – we can expect continued consolidation in the business travel industry."
Demand for travel domestically and to Europe remains stable but a cloud of uncertainty remains over economic conditions in Asia, Africa and Latin America.
The ‘GBTA BTI Outlook – United States 2015 Q4’ report says prices will rise for most key travel goods and services in 2016 except for airfares but the rising cost of ancillary fees will likely mean more expensive air travel.
